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Fixed Annuity

Establishing and maintaining long-term financial security should be a consistent goal throughout your life. Whether preparing for retirement, ensuring financial stability for your loved ones or simply cultivating savings and assets, taking ample steps to secure future financial wellness can be invaluable investments of your time and resources. With this in mind, understanding the benefits of fixed annuities may be helpful.

How Can a Fixed Annuity Contribute to Retirement Planning?

Annuities are financial instruments typically purchased from an insurance company. These products essentially act as an investment for your future, as they may offer a steady income source, provide for spouses and dependents in the event of your death and even accrue value over time. By purchasing annuities, you can safely pursue your long-term financial goals, such as those involving your retirement.

Fixed annuities are one of the most commonly purchased types and may be a desirable option for many people as they prepare for retirement. In exchange for your initial investment, these annuities lock in a rate of interest that can accrue significant value over long periods of time. Fixed annuity gains are unaffected by market conditions, providing security for your investment while better guaranteeing growth.

What Is the Difference Between Fixed Annuities and Variable Annuities?

Variable annuities are another common type of these financial tools. While exact details may vary, variable annuities generally represent more aggressive investments. While fixed annuities are unaffected by market conditions, your variable annuities’ values may fluctuate significantly based on market performance. As such, your investments may lead to more lucrative outcomes but may also be less secure.

How Do Fixed Annuity Rates Compare to Other Investment Options?

Fixed annuities establish a guaranteed interest rate for the duration of your contract. Interest rates may change upon renewal of a fixed annuity. Because of this inherent stability, fixed annuities’ earning potential may be lower than other investments; however, the consistent stability and security offered by these products can also be valuable.

We’re Here to Help

At Medicareline Insurance, our dedicated staff has the knowledge and experience to help you understand annuities and identify the proper steps to plan for your financial future. Contact us today to learn more.